Power price hike push sparks shock and awe

Possible Power and Water price hikes dominated question time in the Territory Legislative Assembly today.

Jack Kerr

Treasurer Dave Tollner says the Northern Territory Government will not accept power price hikes recommended by the Power and Water Corporation.

In a report, the corporation said network prices needed to increase by 58 per cent in July next year to keep the utility commercially viable.

The report is before the Utilities Commissioner but Mr Tollner says the Government is sticking by its promised tariff rise of 20 per cent this year, and 5 per cent a year over the next two years.

He says the corporation must find the savings.

"We think that ... Territorians have done much of the heavy lifting," he said.

"Because we have seen a big increase in tariffs, it is now time the Power and Water Corporation is reformed, that the waste is cut out and it becomes an efficient and competitive organisation."

Possible Power and Water price hikes dominated question time in the Territory Legislative Assembly today.

Opposition leader Delia Lawrie told parliament that the Power and Water Corporation recommendations revealed a "secret plan" to hike charges from July next year, amounting to $500 more a quarter for the average Territory family.

Chief Minister Adam Giles labelled the claim as a fairy tale.

"What we have said about the price of power is set in stone for the next three years," he said.

Mr Giles then attempted to gag question time, which caused an uproar in the parliament.

At first he was successful.

The Ms Lawrie introduced a motion to reinstate the 15 minutes of question time lost to the gag motion.